"Insider trading" rules pertain to:

Question

Quizplus · Accepted Answer

Insider trading rules apply to all of the above - tippees, officers, directors, and underwriters. Tippees are individuals who receive confidential information from insiders (such as officers or directors) and use that information to make trades. Underwriters may also receive confidential information during the process of underwriting a public offering. All of these individuals have access to material nonpublic information that could influence their trading decisions and potentially harm other investors in the market. Insider trading rules aim to prevent unfair advantages and ensure a level playing field for all investors.

"Insider Trading" Rules Pertain To